On June 26, 2014, President Obama nominated Schroeder to serve as a United States District Judge of the United States District Court for the Eastern District of Texas, to the seat vacated by Judge David Folsom, who retired on March 17, 2012.[5] He received a hearing before the United States Senate Committee on the Judiciary for September 9, 2014.[6] On November 20, 2014 his nomination was reported out of committee by voice vote.[7] On Saturday, December 13, 2014 Senate Majority LeaderHarry Reid filed a motion to invoke cloture on the nomination. On December 16, 2014, Reid withdrew his cloture motion on Schroeder's nomination, and the Senate proceeded to vote to confirm Schroeder in a voice vote. He received his federal judicial commission on December 19, 2014.[4]

Among Judge Schroeder's notable patent cases include the VirnetX v. Apple lawsuit, where in 2017 Virnetx won a $302 million verdict against Apple, with $137 in enhanced fees and damages, totaling to a damages award near $439 million.[10][11][12] A previous version of the case in 2016 resulted in a verdict of $625 million that Apple had to pay VirnetX.[13] However, that verdict was voided by Judge Schroeder, which led to the 2017 retrial.[14]